Salary rate
Annual
Month
Biweekly
Weekly
Day
Hour
Withholding
Salary
$7,072
Federal tax deduction
- $820
Provincial tax deduction
- $168
CPP deduction
- $204
EI deduction
- $112
Total tax
- $1,304
Net pay
* $5,768
Marginal tax rate
30.6%
Average tax rate
18.4%
81.6%
Net pay
18.4%
Total tax
Total tax
Net pay
Summary
If you make $7,072 a year living in the region of Ontario, Canada, you will be taxed $1,304. That means that your net pay will be $5,768 per year, or $481 per month. Your average tax rate is 18.4% and your marginal tax rate is 30.6%. This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of $100 in your salary will be taxed $30.55, hence, your net pay will only increase by $69.45.
Bonus Example
A $1,000 bonus will generate an extra $695 of net incomes. A $5,000 bonus will generate an extra $3,473 of net incomes.
NOTE* Withholding is calculated based on the Ontario tables of Canada, income tax. For simplification purposes some variables (such as marital status and others) have been assumed. This document does not represent legal authority and shall be used for approximation purposes only.